March 19, 2009

LET A STRAIGHT MAN READ, HONEY!

AND HE'S EVEN A REPUBLICAN! Of course, it's nice to laugh at seeing Kashkari being grilled, but AIG will be laughing all the way to the bank as they "kash and kari" away our hard-earned tax $. Huffington Post reported yesterday that the the Federal Reserve knew about these additional bonuses for months and kept it from the Obama administration!

Obama Administration: We Didn't Find Out About AIG Bonuses Until This Month

Sources in the Obama administration Tuesday said that despite previous media reports administration officials did not know until a couple weeks ago that the officials of the controversial AIG Financial Product Division were set to receive $165 million in bonuses on March 13.

It wasn't until Thursday, March 5, 2009, administration sources told ABC News, that officials of the Federal Reserve Bank of New York informed officials of the Treasury Department of the full extent of the $165 million in bonuses pending for the controversial Financial Products Subsidiary.

This was three days after the Obama administration had already announced a new commitment of an additional $30 billion for AIG.

SO GLAD THAT THE ADDITIONAL COMMITMENT I BEING WELL-SPENT!

FROM YOUTUBE:

Congressman Don Manzullo grills Interim Assistant Treasury Secretary Neel Kashkari on the bailout plan, questioning why a failed company that was bailed out with taxpayer dollars -- AIG -- was allowed to give a $3 million bonus to an executive.

8 Comments:

Where does Kashkari come from? Illinois, the same place as the congressman. My guess is that if you made $41,000 as a local idiot banker, that you probably don't have the skill to try to pull AIG out of a very complicated position right now, and Kashkari is right, there is no way to tell whether a dollar amount is justified in spending to retain someone who can without knowing what the details of this deferred comp package entails.

If you spend 3 million to retain someone who can bring what was a 300 billion dollar market cap company (which is now only 29 billion) back somewhat to what it was, then I would say that would be a rather small price to pay. But if you put the skill level of someone who is making 41,000 in place to try to figure anything like this out, you can kiss the rest of that 29 billion in market cap along with the rest of the banking system goodbye.

Put another way, just because those in the 3rd world live on less than $2.00 per day does not mean that the world should. Although if everyone did we'd all have the same, and we'd all be bathing in the same water that we shit in.

Why do bars pay to have you perform? Because it ultimately brings in the crowds and makes the bars much more money than they would have if they didn't. Is it exorbitant to have cocktails and drag, yes it is. But there is value in what you do that far exceeds what they pay you because you draw crowds. They have neither cushy bars nor glamourous drag queens in the third world much.

My guess is that the individual who was being retained with deferred compensation was able to bring much more than $3,000,000 to the bottom line of this company, and that is why Mr. Kashkari was referring to the details.

Many try to comment on what they admittedly don't understand, and i am sorry but that is dangerous, obviously.

If everyone at AIG made $41,000 a year, there would be no employees left, and no drag queens means no more entertainment, and bars will start closing down won't they?

Anonymus: the guys that brought AIG into this position in the first place weren't exceptionally well paid either, weren't they? So why do you expect the people that brought us into this mess to get us out of it?